Globalization and Integration: The Contemporary Relationship Between the Mordern State and the Economy

Globalization from a purely economic perspective, it's the result of human innovation and technological progress. It refers to the increasing integration of  economies around the world, particularly through  the movement of goods, services, and capital across  borders. The term sometimes also refers to the  movement of people (labor) and knowledge (technology) across international borders. ((IMF, 2008).

Developing world economic relations on the basis of the international division of labor is becoming increasingly significant for many national economies. The convergence and  intensification of the interdependencies of states and their economic entities is the main trend of  the world economy. The processes taking place in the economies of individual states and their integration groupings can not be considered without taking into account external factors conditioned by the globalization of the world economy. Increasing economic interdependencies between the economic units are clearly being manifested through the pace and duration of the world economic crises. Manifestations and consequences of the global financial-economic crises differ and mainly depend on the country and its role in the world economic system. The stability reserve of the national economy in the controversial circumstances of globalization is conditioned by the weighted combination of the governmental policy of protectionism and gaining an advantage on the international division of economic factors. A system approach is needed for the purposeful quality change of the position of the individual state in the changing architecture of the global economy.

Integration has command a significant increase in scientific and practical interest in international economic integration  of the world economy since the late 19th century are associated with internationalization. Its main subjects are all nation states, their unions, transnational corporations, transnational banks, international economic organizations, and world financial centers.Characteristic features of internationalization are increasinginternational interconnections and interdependencies of different countries, regions and business entities at various levels. 

The Thin Relationship Mordern State and the Economy

In the contemporary world both state and Economy are both variable that depends on each other, The relation between the state and the economy is the central issue for all who try to understand the upheavals of the past decade and a half.

Several theories have been developed to explain and address the problematic issues of state and Economy. Interestingly, karl Marx did not only develop an analysis of the relationship, in either  direction, between the state and the economy. On the one hand, he did not present a developed theory of the manner in which capital accumulation affects the form of the state. Instead, in key passages he established a general framework for treating the issue in terms of a relation between the superstructure and an ultimately determinant base, but the enigmatic nature of these passages has stimulated a modern controversy which has revealed precisely that because the concept of that relation is undeveloped it is far from robust. 

Welfarism State 

Inline with the orthodox and non-classical ideology about state and economy traditionally assumed that in Britain which are primarily balancer world politics before outbreak of 2nd Worldwar  are broadly concerned with the non-marketed services provided to individuals by institutions of the state since World War II. They include services produced by the state such as education, social work and health care and also redistribution of income through mechanisms like pensions and supplementary benefits. They did not arise from nowhere after the war, but the post-war government did systematise the state, charitable, and friendly-society provision of such services that had existed, thereby creating the coherent whole that we understand as the welfare state. In explaining it Marxists have to answer two distinct questions: why have such services been expanded, systematised and entrenched since the war, and why have they been provided through the state rather than the private sector. The answers that Marxist theory so far provides for the first question are now commonplace but, nevertheless, problematic; the second question, however, is virtually unanswered.

References 

The State And The Economy:  Some Theoretical Problems

IMF reports 2018